Plan sponsors in multiemployer pension funds should quickly look out for any potential fallout from the new Multiemployer Pension Reform Act of 2014, also known as the Kline-Miller Amendment.
This is particularly true for employers that make contributions to any "red zone/critical status" funds or "yellow zone/endangered status" funds.
The most publicized change under the new law, which was just signed by President Obama, allows some troubled multiemployer pension plans to reduce benefits of workers and retirees.
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But there are other provisions in the law to consider. The changes generally take effect for plan years beginning on or after Dec. 31.
Polsinelli, a national law firm, offered the following advice:
1. Review the terms of each collective bargaining agreement that requires contributions to a multiemployer pension fund. Look for any minimum benefit levels for employees as well as "re-opener" provisions.
2. Check the funded status of every multiemployer pension fund.
3. Obtain an up-to-date "withdrawal liability estimate" for each multiemployer pension fund. Ask for all related documents.
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4. Consider making inquiries through the fund's employer trustees about whether the fund will implement any of the changes allowed under the law.
5. It may be worthwhile to retain an independent actuary to analyze the plan's funded status. The actuary should also come up with projections given the plan's current funded status and future funded status if changes come about because of the new law. The actuary should be hired via a lawyer to maintain client confidentiality.
6. Check to see if union representatives have made any public statements which suggest they are supportive or opposed to changes allowed under the new law. 
7. Keep your eyes out for relevant regulatory guidance from the Department of Labor, IRS or the Pension Benefit Guaranty Corp.
8. Re-evaluate the risks of continuing to participate in the multiemployer pension fund.
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